BILL NUMBER: SB 1073	CHAPTERED  09/02/99

	CHAPTER   310
	FILED WITH SECRETARY OF STATE   SEPTEMBER 2, 1999
	APPROVED BY GOVERNOR   SEPTEMBER 1, 1999
	PASSED THE ASSEMBLY   AUGUST 19, 1999
	PASSED THE SENATE   APRIL 29, 1999

INTRODUCED BY   Committee on Public Employment and Retirement
(Senators Ortiz (Chair), Baca, Karnette, and Lewis)

                        FEBRUARY 26, 1999

   An act to amend Sections 18672, 18680, 18710, 18939, 19063,
19063.1, 19063.2, 19063.5, 19063.8, 19144, 19253.5, 19401, 19402,
19403, 19405, 19406, and 19585 of, to add Section 21419.5 to, and to
repeal Section 19404 of, the Government Code, relating to state
employees.



	LEGISLATIVE COUNSEL'S DIGEST


   SB 1073, Committee on Public Employment and Retirement.    State
employees.
   (1) The State Civil Service Act requires that a subpoena for
attendance at a hearing under the act or a subpoena duces tecum for
production of documents be issued  by the state agency or presiding
officer at the request of a party.
   This bill instead would require the State Personnel Board or its
authorized representative to issue the subpoena or subpoena duces
tecum.
   (2) Under the act, all orders and decisions of the board are
binding on appointing powers.
   This bill would specify that board orders and decisions are also
binding on all parties to a proceeding before it.  The bill would
also revise the procedure available to the board for responding to
noncompliance with a board order.
   (3) Under the act, any person receiving state public assistance
under the Aid to Families with Dependent Children program is required
to receive priority for a seasonal class position that does not
require an examination.
   This bill instead would refer to persons receiving assistance
under the CalWORKs program and would include entry level nontesting
class positions in its provisions for priority consideration.
   (4) Under the Public Employees' Retirement Law, the head of an
agency may make an application for disability retirement for an
employee, but may not separate that employee from state service
unless the Board of Administration of the Public Employees'
Retirement System determines that the employee should be retired.
   This bill would require an appointing power, if it concludes from
a medical examination that an employee is unable to perform the work
of his or her present position or any other positions in the agency
and the employee is eligible and does not waive the right to retire
for disability, to file an application for disability retirement on
the employee's behalf.  Upon filing the application, the appointing
power would be authorized to remove the employee from the job and
place the employee on involuntary leave status while the application
is pending.
   (5) The act requires state agencies to establish an upward
mobility program.
   This bill would revise these requirements, including classes of
eligible employees and available programs.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 18672 of the Government Code is amended to
read:
   18672.  (a) Subpoenas and subpoenas duces tecum may be issued for
attendance at a hearing and for production of documents at any
reasonable time and place.  However, a subpoena shall not be issued
to compel attendance of any witness who does not reside within 100
miles of the place where the hearing or investigation is held unless
it is shown to the satisfaction of a member of the board, the
executive officer, or the person authorized to conduct the
investigation or hearing, by affidavit stating the facts, that the
witness is a material witness.  Such a statewide subpoena shall be
served at least five days prior to the date of hearing.
   (b) Subpoenas and subpoenas duces tecum shall be issued by the
board or its authorized representative at the request of a party.
   (c) The process extends to all parts of the state and shall be
served in accordance with Sections 1987 and 1988 of the Code of Civil
Procedure.  A subpoena or subpoena duces tecum may also be delivered
by certified mail return receipt requested or by messenger.  Service
by messenger shall be effected when the witness acknowledges receipt
of the subpoena to the sender, by telephone, by mail, or in person,
and identifies himself or herself either by reference to date of
birth and driver's license number or Department of Motor Vehicles
identification number, or the sender may verify receipt of the
subpoena by obtaining other identifying information from the
recipient.  The sender shall make a written notation of the
acknowledgment.  A subpoena issued and acknowledged pursuant to this
section has the same force and effect as a subpoena personally
served.  Failure to comply with a subpoena issued and acknowledged
pursuant to this section may be punished as a contempt and the
subpoena may so state.  A party requesting a continuance based upon
the failure of a witness to appear at the time and place required for
the appearance or testimony pursuant to a subpoena, shall prove that
the party has complied with this section.  The continuance shall
only be granted for a period of time that would allow personal
service of the subpoena and in no event longer than that allowed by
law.
   (d) No witness is obliged to attend unless the witness is a
resident of the state at the time of service.
   (e) The custodian of documents that are the subject of a subpoena
duces tecum may satisfy the subpoena by delivery of the documents or
a copy of the documents, or by making the documents available for
inspection or copying, together with an affidavit in compliance with
Section 1561 of the Evidence Code.
  SEC. 2.  Section 18680 of the Government Code is amended to read:
   18680.  The remedy provided in Sections 11186 to 11188 inclusive
is cumulative, and does not impair or interfere with either the power
of the board or its authorized representative to conduct the hearing
or investigation to enforce the attendance of witnesses and the
production of books or papers or the power of any party to seek court
enforcement of a subpoena issued by the board or its authorized
representative.
  SEC. 3.  Section 18710 of the Government Code is amended to read:
   18710.  All orders and decisions of the board made pursuant to
Article VII of the California Constitution or this part shall be
obeyed by and are binding upon all parties to a proceeding before it,
including, but not limited to, appointing powers and all their
employees, including their personnel officers, regardless of whether
an appointing power or other party agrees or disagrees with a
decision or order of the board.
   All orders and decisions, other than orders or decisions of the
board itself, shall be reviewed by the executive officer or an
employee of the board designated by the executive officer.
   If any appointing power or other party refuses or neglects to
comply with any such order or decision, the board may , in its sole
discretion, after investigation with or without a hearing, do any of
the following:
   (a) Issue further findings interpreting or clarifying the order or
decision.
   (b) Issue further findings as to whether an appointing power or
other party has or has not complied with the order or decision.
   (c) Issue an order to show cause, directed to the appointing
power, why the board should not file a petition for a writ of mandate
to compel the appointing power to comply with the order or decision.

   If the board finds that no good cause exists for the refusal or
neglect of the appointing power or other party to comply with the
order or decision, the board may issue a further order or decision
consistent with its findings.  Alternatively, the board may file a
petition for a writ of mandate in the manner and in the court
provided for by law to compel the appointing power or other party to
comply with the order or decision.
   This procedure for the enforcement of the orders and decisions of
the board is in addition to any other means or procedure which may be
provided by law.  Nothing in this section shall preclude a party to
a proceeding before the board from seeking judicial enforcement of an
order or decision of the board.
  SEC. 4.  Section 18939 of the Government Code is amended to read:
   18939.  For classes of positions for which the board or a
designated appointing power finds it difficult to maintain adequate
eligible lists it may receive applications, conduct examinations, and
create eligible lists continuously.  The names of eligibles who took
the same or a comparable examination on different dates may be
ranked for purposes of certification in the order of final earned
ratings, except as the order may be modified by the application of
veterans preferences or career credits, consistent with applicable
statutes.  Eligibility from a continuous examination may be deemed to
be established as of the date of examination.
  SEC. 5.  Section 19063 of the Government Code is amended to read:
   19063.  (a) Any person receiving state public assistance under the
CalWORKs program (Article 3.2 (commencing with Section 11320) of
Chapter 2 of Part 3 of Division 9 of the Welfare and Institutions
Code) who meets the minimum qualifications for any civil service
position described by the State Personnel Board as a seasonal or an
entry level nontesting class that does not require an examination
shall be given priority consideration.  "Priority consideration"
means, for the purposes of this article, that after consideration has
been made for all conditions described in this section, the state
agency involved shall hire all qualified job applicants who are
receiving state public assistance before hiring any other applicant.
The board shall review all nontesting classes and determine those
that are subject to this article.
   (b) Public assistance recipients who apply for openings under this
article shall be required to undergo the same employment process
used by state agencies to select any other person for appointment to
a position in such a class.  If a state agency does not select a
public assistance recipient to fill an opening, it shall document in
its employment records the reasons why the public assistance
recipient was not selected and any other information determined to be
necessary by the  board.
   (c) The employment of public assistance recipients shall be
consistent with the goals established by each agency under Section
19790.
   (d) This section shall not preclude a state agency from hiring any
person appointed during the prior 12 months in the class for which
the vacancy exists.
  SEC. 6.  Section 19063.1 of the Government Code is amended to read:

   19063.1.  Each state agency that intends to establish qualified
hiring pools, as defined by the State Personnel Board, for seasonal
or entry level nontesting class employment shall notify the
Employment Development Department or its delegate in the area where
the openings are expected to occur at least 45 calender days prior to
the establishment of the pool.  The state agency shall request
referrals of public assistance recipients and at the same time shall
provide necessary job-related information.
  SEC. 7.  Section 19063.2 of the Government Code is amended to read:

   19063.2.  Each state agency that has an open seasonal or entry
level nontesting class position, but does not have a qualified hiring
pool, shall notify the Employment Development Department or its
delegate in the area where the job is located of the opening no later
than five working days after the vacancy occurs.  The state agency
shall request referrals of public assistance recipients and at the
same time shall provide necessary job-related information.  The
agency shall provide a reasonable period for referrals, but not less
than 10 working days.
  SEC. 8.  Section 19063.5 of the Government Code is amended to read:

   19063.5.  Notwithstanding any other provision of law,
participation in a seasonal or entry level nontesting class vacancy
by a public assistance recipient shall be voluntary only, and in no
event shall any person be subject to sanctions, through loss of
benefits or eligibility, for not applying for, accepting, or
continuing in such a position.  All notices shall explain the
voluntary nature of the application to work in a seasonal or entry
level nontesting class opening, the job requirements, the amount of
pay, and the job qualifications.  All notices, shall also inform
public assistance recipients that they will have priority in being
hired for jobs in these openings as provided in Section 19063.
  SEC. 9.  Section 19063.8 of the Government Code is amended to read:

   19063.8.  Any seasonal or entry level nontesting classifications
specifically designed to support a program to train students, as
determined by the  board, to the extent that they are authorized as
of the effective date of this article, shall be exempt from this
article.  However, state agencies shall be encouraged by the  board
to increase their efforts to recruit disadvantaged youth or students
for these jobs.
  SEC. 10.  Section 19144 of the Government Code is amended to read:

   19144.  Subject to Sections  21223 and 21224, a person who has
retired from state civil service may be employed temporarily in a
civil service position at any time following retirement, provided
that the position is either:
   (a) In the class in which the person had permanent or probationary
status or a career executive assignment appointment at the time of
retirement.
   (b) In another class to which the person could have been
permanently transferred, reinstated, or demoted at the time of
retirement.
  SEC. 11.  Section 19253.5 of the Government Code is amended to
read:
   19253.5.  (a) In accordance with board rule, the appointing power
may require an employee to submit to a medical examination by a
physician or physicians designated by the appointing power to
evaluate the capacity of the employee to perform the work of his or
her position.
   (b) Fees for the examination and for the services of medical
specialists or technicians, if necessary, shall be paid by the state
agency.  The employee may submit medical or other evidence to the
examining physician or to the appointing power.  The examining
physician shall make a written report of the examination to the
appointing power.  The appointing power shall provide a copy to the
physician designated by the employee.
   (c) When the appointing power, after considering the conclusions
of the medical examination and other pertinent information, concludes
that the employee is unable to perform the work of his or her
present position, but is able to perform the work of another position
including one of less than full time, the appointing power may
demote or transfer the employee to such a position.
   Except as authorized by the Department of Personnel Administration
under Section 19837, the employee demoted or transferred pursuant to
this section shall receive the maximum of the salary range of the
class to which he or she is demoted or transferred, provided that the
salary is not greater than the salary he or she received at the time
of his or her demotion or transfer.
   (d) When the appointing power after considering the conclusions of
the medical examination provided for by this section or medical
reports from the employee's physician, and other pertinent
information, concludes that the employee is unable to perform the
work of his or her present position, or any other position in the
agency, and the employee is not eligible or waives the right to
retire for disability and elects to withdraw his or her retirement
contributions or to permit his or her contributions to remain in the
retirement fund with rights to service retirement, the appointing
power may terminate the appointment of the employee.
   (e) The appointing power may demote, transfer, or terminate an
employee under this section without requiring the employee to submit
to a medical examination when the appointing power relies upon a
written statement submitted to the appointing power by the employee
as to the employee's condition or upon medical reports submitted to
the appointing power by the employee.
   (f) The employee shall be given written notice of any demotion,
transfer, or termination under this section at least 15 days prior to
the effective date thereof.  No later than 15 days after service of
the notice, the employee may appeal the action of the appointing
power to the board.  The board, in accordance with its rules, shall
hold a hearing.  The board may sustain, disapprove, or modify the
demotion, transfer, or termination.
   (g) Whenever the board revokes or modifies a demotion, transfer,
or termination, the board shall direct the payment of salary to the
employee calculated on the same basis and using the same standards as
provided in Section 19584.
   (h) Upon the request of an appointing authority or the petition of
the employee who was terminated, demoted, or transferred in
accordance with this section, the employee shall be reinstated to an
appropriate vacant position in the same class, in a comparable class
or in a lower related class if it is determined by the board that the
employee is no longer incapacitated for duty.  Such a reinstatement
to a position in a different agency may be made only with the
concurrence of that agency.  In approving or ordering the
reinstatements, the board may require the satisfactory completion of
a new probationary period.  When the board finds the employee who was
terminated, demoted, or transferred is no longer incapacitated for
duty but there is no vacant position to which the employee
appropriately can be appointed, the name of the employee shall be
placed upon those reemployment lists that are determined to be
appropriate by the board.
   (i) (1) If the appointing power, after considering the conclusions
of the medical examination provided for by this section or medical
reports from the employee's physician and other pertinent
information, concludes that the employee is unable to perform the
work of his or her present position or any other position in the
agency and the employee is eligible and does not waive the right to
retire for disability, the appointing power shall file an application
for disability retirement on the employee's behalf.  The appointing
power shall give the employee 15 days written notice of its intention
to file such an application and a reasonable opportunity to respond
to the appointing power prior to the appointing power's filing of the
application.  However, the appointing power's decision to file the
application is final and is not appealable to the State Personnel
Board.
   (2) Notwithstanding Section 21153, upon filing the application for
disability retirement, the appointing power may remove the employee
from the job and place the employee on involuntary leave status.  The
employee may use any accrued leave eligible during the period of the
involuntary leave.  If the employee's leave credits and programs are
exhausted or if they do not provide benefits at least equal to the
estimated retirement allowance, the appointing power shall pay the
employee an additional temporary disability allowance so that the
employee receives payment equal to the retirement allowance.  The
appointing power shall continue to make all employer contributions to
the employee's health plans during the period of the involuntary
leave.
   (3) If the application for disability retirement is subsequently
granted, the retirement system shall reimburse the appointing power
for the temporary disability allowance which shall be deducted from
any back disability retirement benefits otherwise payable to the
employee.  If the application is denied, the appointing power shall
reinstate the employee to his or her position with back salary and
benefits pursuant to subdivision (g), less any temporary disability
allowance paid by the appointing power.  The appointing power shall
also restore any leave credits the employee used during the period of
the involuntary leave.
  SEC. 12.  Section 19401 of the Government Code is amended to read:

   19401.  All departments and agencies of state government shall
establish an effective program of upward mobility for employees in
low paying occupational groups, as defined by the State Personnel
Board.  In developing their upward mobility programs, departments and
agencies shall endeavor to provide, to the greatest extent possible,
the following opportunities for employees who meet criteria
established by the department or agency, demonstrate the aptitude or
potential for advancement, and wish to participate in:
   (a) Career counseling utilizing individual professional,
administrative, and technical employees who can serve as career
models, and a course in group career counseling.  Each employee who
wishes to participate in an upward mobility program should be
required to develop a career development plan.
   (b) Appropriate academic counseling.
   (c) Training opportunities such as college programs related to
special training programs.  This training may include release time at
reduced cost or no cost to the employee and may be offered in
geographically remote areas through cooperative arrangements with
other departments and colleges.
   (d) Training and development assignments.
   (e) On-the-job training.
   (f) Job restructuring, including the development of career ladders
and lattices, and modifications of requirements where employment
barriers exist.
  SEC. 13.  Section 19402 of the Government Code is amended to read:

   19402.  All upward mobility programs shall include annual goals
that include the number of employees expected to progress from
positions in low paying occupational groups to entry-level technical,
professional, and administrative positions, and the timeframe within
which this progress shall occur.  The State Personnel Board shall be
responsible for approving each department's annual upward mobility
goals and timetables.
   Any department or agency of state government that determines that
it will be unable to achieve the goals may request the board for a
reduction in the goals.  If the board determines that the department
or agency has not made a good faith effort to achieve the goals, the
board shall hold public hearings to determine the reasons for  the
deficiencies and to establish a program to overcome these
deficiencies.
  SEC. 14.  Section 19403 of the Government Code is amended to read:

   19403.  The State Personnel Board shall, in cooperation with
departments, establish bridging classifications and career ladders to
provide upward mobility from jobs in low paying occupations to
technical, professional, and administrative jobs on an ongoing basis.

  SEC. 15.  Section 19404 of the Government Code is repealed.
  SEC. 16.  Section 19405 of the Government Code is amended to read:

   19405.  The State Personnel Board shall annually submit a report
to the Legislature on the performance of each department and agency
in state government in  meeting its obligations under this article.

  SEC. 17.  Section 19406 of the Government Code is amended to read:

   19406.  The State Personnel Board shall prepare written guidelines
for implementation of the upward mobility program described in this
article within six months from the effective date of this article.
The board shall involve representatives from a cross section of
groups and organizations representing state employees, including
target groups, both in the initial discussion and in the subsequent
preparation of the guidelines.
  SEC. 18.  Section 19585 of the Government Code is amended to read:

   19585.  (a) This section shall apply to permanent and probationary
employees and may be used in lieu of adverse action and rejection
during probation when the only cause for action against an employee
is his or her failure to meet a requirement for continuing
employment, as provided in this section.  This section shall not
apply to cases subject to the provisions of termination or demotion
for medical reasons or retirement for disability.
   (b) An appointing power may terminate, demote, or transfer an
employee who fails to meet the requirement for continuing employment
that is prescribed by the board on or after January 1, 1986, in the
specification for the classification to which the employee is
appointed.  Notwithstanding the foregoing, as prescribed by Article
11 (commencing with Section 19991) of Chapter 1 of Part 2.6, the
appointing power may grant the employee a leave of absence in lieu of
one of the actions specified above.  In prescribing requirements for
continuing employment, the board may specify standards to ensure
that the requirements are consistently applied.  The board may also
specify when separation from a position for failure to meet
requirements for continuing employment also constitutes separation
from former positions that the employee held in other classifications
that have the same or greater requirements for continuing
employment.
   (c) The federal Immigration Reform and Control Act of 1986
requires termination of an employee for failure to meet the
employment eligibility requirements of that act, and if this is the
only cause for action against that employee, the termination shall be
carried out pursuant to this section.  If a person fails to meet the
employment eligibility requirements of the federal Immigration
Reform and Control Act of 1986, that information, when used under
this section, except for purposes of the appeals process, shall be
confidential, as provided in the federal Immigration Reform and
Control Act of 1986.
   (d) For the purposes of this section, requirements for continuing
employment shall be limited to the acquisition or retention of
specified licenses, certificates, registrations, or other
professional qualifications, education, or eligibility for continuing
employment or advancement to the fully qualified level within a
particular class series.  The board shall prescribe procedures to
ensure that employees affected by the requirements are informed of
them.  Requirements for continuing employment that are established
for the purposes of this section shall not include medical, physical
ability, work, or academy performance standards.
   (e) For the purposes of this section, an employee who has filed a
proper and timely application for renewal of a required license,
registration, or certificate shall be considered as having maintained
the license, registration, or certificate unless it is subsequently
denied, revoked, or suspended.
   (f) The employee shall receive at least five days' written notice
of termination, demotion, or transfer and shall have the right to
appeal the action to the board.
   (g) When the requirements for continuing employment have been
regained, terminated, demoted, or transferred employees may be
reinstated pursuant to Section 19140.
   (h) Any action under this section shall be considered
nondisciplinary for the purposes of the State Civil Service Act and
board rules.
   (i) Whenever the board revokes or modifies a termination,
demotion, or transfer under this section, the board shall direct the
payment of salary and benefits to the employee calculated on the same
basis and using the same standards as provided in Section 19584.
  SEC. 19.  Section 21419.5 is added to the Government Code, to read:

   21419.5.  The system shall deduct the amount of interim disability
allowance made to a state member pursuant to subdivision (i) of
Section 19253.5 from the member's retroactive disability allowance,
and reimburse the state agency that has made the interim disability
allowance payments.  If the retirement disability allowance is not
sufficient to reimburse the total interim disability allowance
payments, an amount no greater than 10 percent of the member's
monthly disability allowance shall be deducted and reimbursed to the
state agency until the total interim disability allowance payments
have been repaid.  The state member and this system may agree to any
other arrangements or schedule for the member to repay the interim
disability allowance payments.  If the disability application is
denied, the system shall not be responsible for reimbursing the
amount of interim disability allowance paid to the member by the
state agency.
